Federal Judge Rules Against Trump's H-1B Visa Fee Increase

Legal Ruling on H-1B Visa Fees

On Monday, a significant legal defeat was faced by US President Donald Trump when a federal judge ruled that the $100,000 fee imposed on new H-1B visas for skilled foreign workers was illegal and must be revoked. US District Judge Leo Sorokin, based in Boston, made this decision in response to a lawsuit brought by 20 Democratic state attorneys general, contesting the fee that Trump announced in September, which substantially increased the cost of acquiring H-1B visas.

The H-1B visa program allows for the issuance of 65,000 visas each year, along with an additional 20,000 for individuals holding advanced degrees, typically valid for three to six years. Prior to the announcement, employers generally paid fees ranging from $2,000 to $5,000 based on various criteria. The recent hike in fees has reportedly led to a decline in H-1B visa applications, as indicated by court documents. By February 15, US Citizenship and Immigration Services noted that only 85 payments of the $100,000 fee had been received, according to a filing from the administration in March.

The administration contended that this fee was a monetary penalty that the president was authorized to impose under federal immigration law to limit the entry of specific foreign nationals. However, Judge Sorokin, appointed by former President Barack Obama, determined that the fee should be classified as a tax, which the Republican president did not have the authority from Congress to implement. He stated, "The nature and application of the $100,000 payment indicate that it is a tax, irrespective of its designation." This is a Breaking Story and will be updated soon